Health Insurance Information
If you are injured or develop an illness or condition, it can have devastating ramifications on your short- and long-term quality of life. Access to essential health services may be crucial as you recover. But the cost of medical care can be challenging to manage without adequate insurance. Fortunately, by understanding health insurance and optimizing your plan, you can ensure you have the necessary resources to access the care you need.
How Does Health Insurance Work?
As its name suggests, health insurance provides financial assistance to help you pay for medical services. This may include preventive care such as vaccinations and checkups, as well as hospitalization, prescription medications and visiting specialists. Regardless of how safe or healthy your lifestyle, even daily tasks like commuting to work or using stairs can lead to significant injuries. Without adequate health insurance, a single accident or illness could have significant consequences for your wellness and your finances.
How Much Health Insurance Do I Need?
Everyone’s health insurance needs are different. Depending on your general health and wellness, you may want to plan for higher healthcare costs and retain higher coverage limits. Having children may also affect your coverage needs, as they may require additional medical services. Consider contacting a qualified insurance professional to receive assistance in assessing your health insurance needs.
What Is a Health Insurance Deductible?
One of the most integral components of your health insurance policy is its deductible. While your health plan can provide financial assistance to help you afford your medical needs, deductibles establish a minimum out-of-pocket amount you may need to pay before your policy begins to contribute. To fully understand your health insurance policy, you should also familiarize yourself with the following terms:
- Premium—This is your regular (e.g., monthly) payment to maintain your coverage. Premiums do not count toward your deductible.
- Copay—This refers to out-of-pocket costs for various medical services, such as X-rays or checkups. In most cases, these payments do not contribute to reaching your deductible.
- Coinsurance—This part of your policy outlines cost percentages you will still be responsible for even after meeting your deductible.
- Out-of-pocket maximum—This limits your out-of-pocket costs in a single plan year. Your deductible generally contributes toward this.
How Many Health Insurance Plans Can You Have?
It is legal to be simultaneously covered by multiple health insurance policies. This may occur if you and your spouse choose to list each other in your employer-sponsored plans. Similarly, adult children may remain on your plan until age 26 but could also be offered their own coverage once employed.
By having multiple health plans, you may be able to access a broader range of services and have more diverse coverage. However, this does not mean that you can count on excessive payouts. For example, if you visit a doctor covered under both of your health plans, do not expect to receive double the reimbursement.
Through a process called coordination of benefits, your health plans will determine which insurance pays first. If your primary plan does not cover certain services or its limits have been exhausted, your secondary coverage may be able to provide further financial assistance.
Get the Right Coverage
Health insurance can be complicated. Fortunately, the agents at Insurance Discounters of Texas can call on over 25 years of experience to help you select and optimize your coverage. Visit our website or call 281-351-2880 to get started today.
1 - Source : MANAGED CARE AND THE STATES